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Gold/Mining/Energy : Big Dog's Boom Boom Room

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From: Dennis Roth7/17/2010 10:04:30 AM
1 Recommendation   of 206162
 
Gas Utilities
Modest Upside Remains; Prefer Rate Base Growth & Free Cash
Flow Stories
16 July 2010 - 67 pages
citigroupgeo.com

Fundamental Value Neutral — Using our proprietary DDM model (ERP, and Rf
of 4%, 2-3% rate base growth), we estimate gas utilities have about 8% upside
based on our target multiple of 13.0x on 2012 EPS. Our Buy ratings include
rate base growth stories such as CNP and SRE and free cash flow stories such
as SWX and UGI. We continue to rate TEG Sell.
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